Australia’s competition regulator stated that it will be conducting an investigation on Monday. The investigation involves Facebook, and Alphabet Inc.’s Google.
According to the AU regulator, it will be examining whether the two U.S. online giants disrupted the news media market. The said disruption caused detriment to publishers and consumers.
Australia’s traditional media companies were no different from their global rivals when it comes to being squeezed by their online rivals. Advertising dollars continued to glow towards digital distributors like Google, Facebook, and Netflix Inc.
The investigation was ordered by the government as part of wider media reforms. These reforms are made as concern regarding the future of journalism and news quality continue to grow. It has also been fueled by the years of declining profits, increase in fake news, and the job cuts in the newsroom.
“We will examine whether platforms are exercising market power in commercial dealings to the detriment of consumers, media content creators and advertisers,” said Rod Sims, Australian Competition and Consumer Commission (ACCC) Chairman, in a statement.
Sims then added that the probe will study the methods employed by Facebook and Google to “fully understand their influence in Australia.”
“We look forward to engaging with this process as relevant,” stated a Google spokesperson.
Facebook, on the other hand, was not immediately available for comment.
Facebook Creates 800 UK Jobs
Facebook will open its new London office on Monday.
The social media platform said that with the new office, it will be adding 800 new jobs in the capital by 2018. This emphasizing the company’s commitment to Britain as the country prepares for Brexit.
Facebook stated that more than half of the people working at the central London site will be focusing on engineering. This will make it the company’s biggest engineering hub located outside the U.S.
The social media’s first in-house start-up incubator dubbed LDN_LAB will also be located in the site. LDN_LAB will be helping in kick starting new British digital businesses.
“The UK’s flourishing entrepreneurial ecosystem and international reputation for engineering excellence makes it one of the best places in the world to build a tech company,” stated EMEA vice president Nicola Medelsohn.
She also said that according to her observations, Facebook is clearly more dedicated than ever to the UK. Seeing as it also supports the growth of the country’s innovative start-ups. She then added, “And we’ve built our company here – this country has been a huge part of Facebook’s story over the past decade, and I look forward to continuing our work to achieve our mission of bringing the world closer together.”
According to Facebook, the new jobs will take the company’s workforce to more than 2,300 by next year.
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